S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7770
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               May 21, 2021
                                ___________
 
 Introduced  by M. of A. EPSTEIN, TAYLOR -- read once and referred to the
   Committee on Insurance
 
 AN ACT to amend the insurance law, in relation to providing for  licens-
   ing of an immigration bond business
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. The insurance law is amended by adding a new  article  68-A
 to read as follows:
                               ARTICLE 68-A
                         IMMIGRATION BOND BUSINESS
 SECTION 6810. IMMIGRATION BOND BUSINESS.
         6811. IMMIGRATION BOND BUSINESS; LICENSING.
         6812. RESTRICTIONS.
         6813. PREMIUM OR COMPENSATION.
         6814. CIVIL ACTION BY PRIVATE PARTY; DAMAGES; ATTORNEY FEES.
         6815. SEVERABILITY CLAUSE.
         6816. REGULATIONS.
   § 6810. IMMIGRATION  BOND  BUSINESS. (A)(1) ANY PERSON, FIRM OR ORGAN-
 IZATION WHO CHARGES A PREMIUM OR  RECEIVES  COMPENSATION  IN  CONNECTION
 WITH THE DEPOSITING OF MONEY OR PROPERTY AS BOND, EXECUTES AS SURETY, OR
 NEGOTIATES OR SOLICITS, ANY BOND, OR INDEMNIFIES OR UNDERWRITES BONDS IN
 RELATION  TO  ANY  PROCEEDING,  FILING OR ACTION AFFECTING THE NON-IMMI-
 GRANT, IMMIGRANT OR CITIZENSHIP STATUS OF A PERSON  WHICH  ARISES  UNDER
 THE  IMMIGRATION  AND  NATIONALITY  LAW, EXECUTIVE ORDER OR PRESIDENTIAL
 PROCLAMATION, OR WHICH ARISES UNDER ACTIONS OR REGULATIONS OF THE UNITED
 STATES DEPARTMENT OF HOMELAND SECURITY SHALL BE DEEMED TO  BE  DOING  AN
 IMMIGRATION BOND BUSINESS AS DEFINED IN THIS ARTICLE AND DOING AN INSUR-
 ANCE BUSINESS AS DEFINED IN ARTICLE ELEVEN OF THIS CHAPTER.
   (2)  EXCEPT  FOR A CORPORATION AUTHORIZED TO WRITE FIDELITY AND SURETY
 INSURANCE AND TO  DO  AN  IMMIGRATION  BOND  BUSINESS  PURSUANT  TO  THE
 PROVISIONS OF ARTICLE ELEVEN OF THIS CHAPTER AND OTHERWISE IN COMPLIANCE
 WITH  ALL  OTHER  REQUIREMENTS  OF  THIS CHAPTER TO DO SUCH BUSINESS, NO
 PERSON, FIRM OR CORPORATION SHALL ENGAGE IN AN IMMIGRATION BOND BUSINESS
 IN THIS STATE.
              

 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09647-02-1

 A. 7770                             2
 
   (B) NO PERSON, FIRM OR CORPORATION SHALL IN THIS STATE DO AN INSURANCE
 BUSINESS OR AN IMMIGRATION BOND BUSINESS AS DEFINED IN SUBSECTION (A) OF
 THIS SECTION UNLESS AUTHORIZED BY A  LICENSE  ISSUED  AND  IN  FORCE  AS
 PROVIDED UNDER ARTICLE ELEVEN OF THIS CHAPTER.
   §  6811.  IMMIGRATION BOND BUSINESS; LICENSING. (A) NO PERSON, FIRM OR
 CORPORATION OR ANY OFFICER OR EMPLOYEE THEREOF SHALL ACT IN  THIS  STATE
 AS  AN AGENT OR SOLICITOR OF AN IMMIGRATION BOND BUSINESS IN SOLICITING,
 NEGOTIATING OR EFFECTUATING ANY SUCH DEPOSIT OR IMMIGRATION BOND BY SUCH
 IMMIGRATION BOND BUSINESS UNLESS LICENSED BY THE  SUPERINTENDENT  AS  AN
 AGENT PURSUANT TO THE PROVISIONS OF THIS SECTION.
   (B)  EVERY  IMMIGRATION  BOND  BUSINESS  IN THIS STATE SHALL PROCURE A
 LICENSE PURSUANT TO THE PROVISIONS OF  THIS  SECTION  FOR  EACH  OF  ITS
 EMPLOYEES,  OFFICERS AND AGENTS ACTING FOR IT IN SOLICITING, NEGOTIATING
 OR EFFECTUATING ANY SUCH DEPOSIT OR IMMIGRATION BOND.
   (C) THE SUPERINTENDENT MAY, IN THE SUPERINTENDENT'S DISCRETION,  ISSUE
 TO  ANY  PERSON,  FIRM OR CORPORATION A LICENSE TO ACT AS AN AGENT OF AN
 IMMIGRATION BOND BUSINESS IN SOLICITING, NEGOTIATING OR EFFECTUATING ANY
 SUCH DEPOSIT OR BAIL BOND BY SUCH IMMIGRATION BOND BUSINESS.
   (D) ANY SUCH LICENSE ISSUED TO  AN  IMMIGRATION  BOND  BUSINESS  SHALL
 AUTHORIZE ONLY THE MEMBERS NAMED IN SUCH LICENSE AS SUBLICENSEES, TO ACT
 INDIVIDUALLY  AS  AGENTS  THEREUNDER.  ANY SUBLICENSE ISSUED TO A CORPO-
 RATION SHALL AUTHORIZE ONLY THE OFFICERS AND  DIRECTORS  NAMED  IN  SUCH
 LICENSE  AS  SUBLICENSEES,  TO  ACT  INDIVIDUALLY  AS AGENTS THEREUNDER.
 EVERY SUBLICENSEE, ACTING AS AN INSURANCE AGENT PURSUANT  TO  A  LICENSE
 ISSUED  TO A FIRM OR CORPORATION, SHALL BE AUTHORIZED TO ACT ONLY IN THE
 NAME OF SUCH FIRM OR CORPORATION.
   (E) BEFORE THE ISSUANCE OF A LICENSE EVERY APPLICANT SHALL SATISFY THE
 SUPERINTENDENT AS TO HIS  OR  HER  TRUSTWORTHINESS  AND  COMPETENCE  AND
 OTHERWISE  COMPLY  WITH  THE  CONDITIONS  SET FORTH IN THIS SECTION. THE
 SUPERINTENDENT MAY REFUSE TO ISSUE ANY SUCH LICENSE IF  IN  HIS  OR  HER
 JUDGMENT  SUCH  REFUSAL WILL BEST PROMOTE THE INTERESTS OF THE PEOPLE OF
 THIS STATE.
   (F) AT THE TIME OF THE APPLICATION FOR  EVERY  LICENSE  A  TWENTY-FIVE
 DOLLAR FEE SHALL BE PAID TO THE SUPERINTENDENT FOR EACH YEAR OR FRACTION
 OF  A  YEAR IN WHICH A LICENSE SHALL BE VALID FOR EACH INDIVIDUAL APPLI-
 CANT AND FOR EACH PROPOSED SUBLICENSEE.
   (G) EVERY APPLICANT FOR A LICENSE HEREUNDER SHALL FILE WITH THE SUPER-
 INTENDENT WRITTEN EVIDENCE BY THOSE WHO KNOW HIS OR  HER  CHARACTER  AND
 REPUTATION  AND  BY  SUCH OTHER PROOF AS THE SUPERINTENDENT MAY REQUIRE,
 INCLUDING HIS OR HER FINGERPRINTS, THAT HE OR SHE IS A  PERSON  OF  GOOD
 CHARACTER  AND  REPUTATION  AND  HAS NEVER BEEN CONVICTED OF ANY OFFENSE
 INVOLVING MORAL TURPITUDE OR OF ANY CRIME. IF SUCH APPLICANT IS  A  FIRM
 OR  CORPORATION  SUCH  PROOF  MUST BE MADE WITH RESPECT TO EVERY MEMBER,
 SHAREHOLDER, OFFICER AND DIRECTOR OF  SUCH  FIRM  OR  CORPORATION.  SUCH
 FINGERPRINTS  SHALL  BE  SUBMITTED  TO  THE DIVISION OF CRIMINAL JUSTICE
 SERVICES FOR A STATE CRIMINAL HISTORY RECORD CHECK, AS DEFINED IN SUBDI-
 VISION ONE OF SECTION THREE THOUSAND THIRTY-FIVE OF  THE  EDUCATION  LAW
 AND  MAY  BE  SUBMITTED  TO  THE  FEDERAL  BUREAU OF INVESTIGATION FOR A
 NATIONAL CRIMINAL HISTORY RECORD CHECK.
   (H) IN ORDER TO DETERMINE THE  COMPETENCE  OF  EACH  APPLICANT  FOR  A
 LICENSE  OR  A SUBLICENSE, THE SUPERINTENDENT SHALL REQUIRE EVERY APPLI-
 CANT TO PASS TO THE SATISFACTION OF THE SUPERINTENDENT A  WRITTEN  EXAM-
 INATION  TO  BE  PREPARED  BY  THE SUPERINTENDENT AND APPROPRIATE TO THE
 DOING OF AN IMMIGRATION BOND BUSINESS. IF THE APPLICANT OR ANY  PROPOSED
 SUBLICENSEE  INTENDS TO MAINTAIN AN OFFICE OR SOLICIT, NEGOTIATE, EFFEC-
 TUATE OR DEPOSIT BAIL ON BEHALF OF ANOTHER  IN  ANY  CITY  CONTAINING  A

 A. 7770                             3
 
 POPULATION  OF MORE THAN ONE HUNDRED SEVENTY-FIVE THOUSAND, SUCH WRITTEN
 EXAMINATION MAY INQUIRE INTO THE APPLICANT'S KNOWLEDGE OF THE  PERTINENT
 PROVISIONS  OF  THE  CRIMINAL  PROCEDURE LAW AND THE PERTINENT RULES AND
 PRACTICES  OF THE COURTS AND DISTRICT ATTORNEYS' OFFICES WITHIN THE AREA
 OF THE APPLICANT'S PROPOSED OPERATIONS. SUCH EXAMINATION SHALL  BE  HELD
 AT SUCH TIMES AND PLACES AS THE SUPERINTENDENT SHALL DETERMINE.
   (I) EVERY INDIVIDUAL APPLYING TO TAKE ANY WRITTEN EXAMINATION SHALL AT
 THE  TIME OF APPLYING PAY TO THE SUPERINTENDENT, OR AT THE DISCRETION OF
 THE SUPERINTENDENT, DIRECTLY TO ANY ORGANIZATION THAT IS UNDER  CONTRACT
 TO  PROVIDE  EXAMINATION SERVICES, AN EXAMINATION FEE OF AN AMOUNT WHICH
 IS THE ACTUAL DOCUMENTED ADMINISTRATIVE COST OF CONDUCTING THE  EXAMINA-
 TION  AS  CERTIFIED BY THE SUPERINTENDENT FROM TIME TO TIME. AN EXAMINA-
 TION FEE REPRESENTS AN ADMINISTRATIVE EXPENSE AND IS NOT REFUNDABLE.
   (J) EVERY APPLICANT FOR ANY SUCH LICENSE SHALL FILE  WITH  THE  SUPER-
 INTENDENT A QUALIFYING BOND, APPROVED BY THE ATTORNEY GENERAL AS TO FORM
 AND  BY THE SUPERINTENDENT AS TO SUFFICIENCY, IN A PENALTY OF FIVE THOU-
 SAND DOLLARS, CONDITIONED UPON THE FAITHFUL PERFORMANCE OF THE DUTIES OF
 SUCH LICENSEE. NO SUCH QUALIFYING BOND SHALL BE SUBJECT  TO  TERMINATION
 OR CANCELLATION BY EITHER PARTY IN LESS THAN SIXTY DAYS AFTER THE GIVING
 OF WRITTEN NOTICE TO THE OTHER PARTY AND TO THE SUPERINTENDENT. A TERMI-
 NATION  OR  CANCELLATION SHALL NOT AFFECT THE LIABILITY OF THE SURETY OR
 SURETIES ON SUCH BOND INCURRED PRIOR  TO  THE  EFFECTIVE  DATE  OF  SUCH
 TERMINATION OR CANCELLATION. IF DURING THE TERM OF SUCH BOND SUCH LICEN-
 SEE  SHALL BE GUILTY OF FRAUDULENT OR DISHONEST CONDUCT OR OTHER MISCON-
 DUCT OR MALFEASANCE IN HIS OR HER DEALINGS WITH ANY COURT OR  MAGISTRATE
 OR WITH ANY PERSON OR CORPORATION IN CONNECTION WITH ANY DEPOSIT OR BAIL
 BOND,  THE  ATTORNEY  GENERAL  MAY MAINTAIN AN ACTION ON SUCH QUALIFYING
 BOND IN THE NAME OF THE PEOPLE OF THIS STATE AND EITHER RECOVER THE FULL
 AMOUNT OF THE PENALTY OR RECOVER FOR THE USE AND BENEFIT OF  THE  PERSON
 OR  PERSONS  AGGRIEVED,  THE  AMOUNT OF LOSS OR INJURY SUSTAINED BY SUCH
 PERSON OR PERSONS BY REASON OF SUCH  MISCONDUCT.  NO  SUCH  RECOVERY  OR
 RECOVERIES  SHALL  EXCEED IN THE AGGREGATE FIVE THOUSAND DOLLARS, EXCLU-
 SIVE OF INTEREST AND COSTS.
   (K) THE SUPERINTENDENT MAY, UPON NOTICE AND AFTER A HEARING, REVOKE OR
 SUSPEND, FOR SUCH PERIOD AS HE OR SHE MAY DETERMINE, ANY SUCH LICENSE OR
 SUBLICENSE ISSUED PURSUANT TO THE PROVISIONS OF THIS SECTION  IF,  AFTER
 NOTICE  AND  HEARING  AS SPECIFIED IN THIS CHAPTER, HE OR SHE DETERMINES
 THAT THE LICENSEE OR ANY SUBLICENSEE OR ANY MEMBER OF A FIRM  OR  CORPO-
 RATION WHICH IS SO LICENSED HAS:
   (1)  VIOLATED  ANY  PROVISION  OF,  OR ANY OBLIGATION IMPOSED BY, THIS
 CHAPTER, OR HAS VIOLATED ANY OTHER LAW OF THE STATE;
   (2) HAS MADE A MATERIAL  MISSTATEMENT  IN  THE  APPLICATION  FOR  SUCH
 LICENSE;
   (3)  HAS BEEN GUILTY OF ANY FRAUDULENT OR DISHONEST PRACTICES OR OTHER
 MISCONDUCT OR MALFEASANCE;
   (4) HAS CHARGED OR RECEIVED, AS PREMIUM OR COMPENSATION FOR THE MAKING
 OF ANY DEPOSIT OR IMMIGRATION BOND, ANY SUM IN EXCESS OF THAT  PERMITTED
 BY LAW;
   (5)  HAS  REQUIRED,  AS  A  CONDITION OF HIS OR HER EXECUTING AN IMMI-
 GRATION BOND, THAT THE PRINCIPAL AGREE TO ENGAGE THE SERVICES OF A SPEC-
 IFIED ATTORNEY; OR
   (6) HAS DEMONSTRATED HIS OR HER INCOMPETENCY OR  UNTRUSTWORTHINESS  TO
 ACT AS A LICENSEE.
   (L) THE SUPERINTENDENT, IN LIEU OF REVOKING OR SUSPENDING A LICENSE IN
 ACCORDANCE WITH THE PROVISIONS OF THIS ARTICLE, MAY, IN ANY ONE PROCEED-
 ING, BY ORDER, REQUIRE THE LICENSEE TO PAY TO THE PEOPLE OF THIS STATE A

 A. 7770                             4
 
 PENALTY  IN  A  SUM NOT EXCEEDING FIVE HUNDRED DOLLARS FOR EACH OFFENSE,
 AND A PENALTY IN A SUM NOT EXCEEDING TWENTY-FIVE HUNDRED DOLLARS IN  THE
 AGGREGATE  FOR  ALL OFFENSES.  UPON FAILURE OF SUCH LICENSEE TO PAY SUCH
 PENALTY  WITHIN  TWENTY  DAYS  AFTER  THE MAILING OF SUCH ORDER, POSTAGE
 PREPAID, REGISTERED, AND ADDRESSED TO THE LAST KNOWN PLACE  OF  BUSINESS
 OF  SUCH  LICENSEE,  UNLESS SUCH ORDER IS STAYED BY A COURT OF COMPETENT
 JURISDICTION, THE SUPERINTENDENT MAY REVOKE THE LICENSE OF SUCH LICENSEE
 OR MAY SUSPEND THE SAME FOR SUCH PERIOD AS HE OR SHE MAY DETERMINE.
   (M) EVERY LICENSE ISSUED TO AN OFFICER, EMPLOYEE, OR AGENT OF AN IMMI-
 GRATION BOND BUSINESS PURSUANT TO THIS  SECTION  SHALL  BE  FOR  A  TERM
 EXPIRING  ON THE THIRTY-FIRST OF DECEMBER OF EVEN NUMBERED YEARS AND MAY
 BE RENEWED FOR THE ENSUING TWO CALENDAR  YEARS  UPON  THE  FILING  OF  A
 RENEWAL  APPLICATION.  THE  SUPERINTENDENT  MAY REFUSE TO ISSUE ANY SUCH
 LICENSE IF IN THE  SUPERINTENDENT'S  JUDGMENT  SUCH  REFUSAL  WILL  BEST
 PROMOTE  THE INTERESTS OF THE PEOPLE OF THIS STATE.  EVERY SUCH LICENSEE
 AND SUBLICENSEE SHALL FILE AN INFORMATION STATEMENT  ON  OR  BEFORE  THE
 THIRTY-FIRST  OF  DECEMBER  OF  EACH  EVEN  NUMBERED  YEAR, THE FORM AND
 SUBJECT MATTER OF WHICH MAY BE PRESCRIBED BY THE SUPERINTENDENT.
   (N) ANY DOMESTIC, FOREIGN OR ALIEN SURETY COMPANY WHICH  WAS  LICENSED
 TO  DO  AN IMMIGRATION BOND BUSINESS IN THIS STATE BEFORE JANUARY FIRST,
 NINETEEN HUNDRED FORTY SHALL SO LONG  AS  ITS  LICENSE  OR  ANY  RENEWAL
 REMAINS  IN  FORCE, BE DEEMED LICENSED AS AN INSURER TO DO SUCH BUSINESS
 WITHIN THE MEANING OF SUBSECTION  (B)  OF  SECTION  SIX  THOUSAND  EIGHT
 HUNDRED TEN OF THIS ARTICLE AND ARTICLE ELEVEN OF THIS CHAPTER.
   (O)  THIS  SECTION  SHALL  NOT APPLY TO ANY INSURER AUTHORIZED IN THIS
 STATE TO EXECUTE AND ISSUE POLICIES OF MOTOR VEHICLE AND AIRCRAFT INSUR-
 ANCE AS SPECIFIED IN  PARAGRAPHS  THIRTEEN,  FOURTEEN  AND  NINETEEN  OF
 SUBSECTION  (A)  OF  SECTION  ONE  THOUSAND ONE HUNDRED THIRTEEN OF THIS
 CHAPTER OR TO ANY AGENT OF SUCH INSURER OR TO  ANY  BROKER  WHO,  AS  AN
 INCIDENT  TO  THE  EXECUTION  AND  ISSUANCE OF ANY SUCH POLICY OR TO THE
 SOLICITATION, NEGOTIATION OR PROCUREMENT THEREOF UNDERTAKES TO  PAY,  IN
 ADDITION  TO  THE APPLICABLE LIMITS OF LIABILITY, THE COST OF BAIL BONDS
 REQUIRED OF THE INSURED BECAUSE OF  ACCIDENT  OR  ASSERTED  TRAFFIC  LAW
 VIOLATIONS  ARISING  OUT OF THE USE OF A VEHICLE INSURED UNDER THE TERMS
 OF THE POLICY, PROVIDED THE COST OF EACH SUCH BAIL BOND DOES NOT  EXCEED
 ONE  HUNDRED  DOLLARS,  OR WHO OTHERWISE ARRANGES FOR THE EXECUTION OF A
 BAIL BOND OR DEPOSIT IN LIEU OF CASH BAIL ON BEHALF OF  THE  INSURED  IN
 THE  EVENT OF THE INSURED'S ARREST OR DETENTION BY REASON OF AN ASSERTED
 VIOLATION OF ANY LAW RELATING TO THE USE OF A MOTOR VEHICLE.
   (P) THE SUPERINTENDENT MAY ISSUE A  REPLACEMENT  FOR  A  CURRENTLY  IN
 FORCE LICENSE WHICH HAS BEEN LOST OR DESTROYED.  BEFORE SUCH REPLACEMENT
 LICENSE  SHALL  BE  ISSUED,  THERE SHALL BE ON FILE IN THE OFFICE OF THE
 SUPERINTENDENT A  WRITTEN  APPLICATION  FOR  SUCH  REPLACEMENT  LICENSE,
 AFFIRMING  UNDER  PENALTY  OF PERJURY THAT THE ORIGINAL LICENSE HAS BEEN
 LOST OR DESTROYED, TOGETHER WITH A FEE OF FIFTEEN DOLLARS.
   § 6812. RESTRICTIONS. (A) NO IMMIGRATION BOND BUSINESS AS  DEFINED  IN
 SUBSECTION (A) OF SECTION SIX THOUSAND EIGHT HUNDRED TEN OF THIS ARTICLE
 SHALL  REQUIRE THE USE OF AN ELECTRONIC MONITORING DEVICE AS A CONDITION
 FOR THE PROVISION OF SUCH A BOND OR IN EXCHANGE FOR  SERVICES.  FOR  THE
 PURPOSES OF THIS SECTION, AN "ELECTRONIC MONITORING DEVICE" INCLUDES ANY
 DEVICE THAT TRACKS OR MONITORS LOCATION, ANY DEVICE THAT TRACKS OR MONI-
 TORS  BIOMETRIC  DATA,  OR ANY DEVICE THAT RECORDS OR TRANSMITS VIDEO OR
 AUDIO SURVEILLANCE DATA.
   (B) NO IMMIGRATION BOND BUSINESS  AS  DEFINED  IN  SUBSECTION  (A)  OF
 SECTION  SIX  THOUSAND EIGHT HUNDRED TEN OF THIS ARTICLE SHALL PROVIDE A
 REFERRAL OR CONTACT INFORMATION FOR A LAWYER OR LEGAL SERVICES  PROVIDER

 A. 7770                             5

 THAT  IS  OWNED  AT  LEAST PARTLY BY THE IMMIGRATION BOND BUSINESS OR AN
 ENTITY AFFILIATED WITH THE IMMIGRATION BOND BUSINESS WITHOUT:
   (1) DISCLOSING IN WRITING THE SOURCE OF PAYMENT TO THE LAWYER OR LEGAL
 SERVICES PROVIDER FOR THE SERVICES RENDERED; AND
   (2)  INCLUDING  THE  WRITTEN  STATEMENT:  "USING  THIS LAWYER OR LEGAL
 SERVICES PROVIDER IS NOT A REQUIREMENT OF BOND. IF YOU  CHOOSE  TO  HIRE
 THIS  LAWYER OR LEGAL SERVICES PROVIDER, YOU HAVE THE RIGHT TO FIRE THEM
 AT ANY TIME AND SEEK YOUR OWN COUNSEL."
   § 6813. PREMIUM OR COMPENSATION. (A)  PREMIUM  OR  COMPENSATION  SHALL
 INCLUDE  ALL FEES AND PAYMENTS ASSOCIATED WITH THE PAYMENT, UNDERWRITING
 OR INDEMNIFICATION OF A BOND. SUCH FEES AND PAYMENTS SHALL INCLUDE,  BUT
 ARE  NOT  LIMITED  TO  MAINTENANCE FEES, PROGRAM FEES, AND INTEREST RATE
 PAYMENTS.
   (B) THE PREMIUM OR COMPENSATION FOR GIVING  BAIL  BOND  OR  DEPOSITING
 MONEY  OR  PROPERTY  AS  BAIL  IN AN ACTION AFFECTING THE NON-IMMIGRANT,
 IMMIGRANT OR CITIZENSHIP STATUS OF A PERSON SHALL  NOT  EXCEED  TEN  PER
 CENTUM OF THE AMOUNT OF SUCH BOND OR DEPOSIT IN ACTIONS WHERE SUCH BONDS
 OR DEPOSITS DO NOT EXCEED THE SUM OF THREE THOUSAND DOLLARS.  WHERE SUCH
 BONDS  OR DEPOSITS EXCEED THE SUM OF THREE THOUSAND DOLLARS, THE PREMIUM
 SHALL NOT EXCEED TEN PER CENTUM OF THE FIRST THREE THOUSAND DOLLARS  AND
 EIGHT  PER CENTUM OF THE EXCESS AMOUNT OVER THREE THOUSAND DOLLARS UP TO
 TEN THOUSAND DOLLARS AND SIX PER CENTUM OF THE EXCESS  AMOUNT  OVER  TEN
 THOUSAND DOLLARS.
   (C) NO PERSON OR CORPORATION SHALL:
   (1)  CHARGE  OR  RECEIVE,  DIRECTLY OR INDIRECTLY, ANY GREATER COMPEN-
 SATION FOR MAKING A DEPOSIT FOR AN IMMIGRATION  BOND,  OR  ACT  IN  SUCH
 BUSINESS AS AFORESAID WITHOUT OBTAINING A LICENSE, OR
   (2)  ACCEPT  ANY  FEE  OR  COMPENSATION FOR OBTAINING A LICENSE OR FOR
 OBTAINING AN IMMIGRATION BAIL BOND. SUCH PERSON OR CORPORATION SHALL  BE
 GUILTY  OF  A MISDEMEANOR AND IN ADDITION SHALL IN ANY ACTION BROUGHT TO
 RECOVER ANY SUCH OVERCHARGE BE LIABLE FOR TREBLE DAMAGES.
   § 6814. CIVIL ACTION BY PRIVATE PARTY; DAMAGES; ATTORNEY  FEES.    ANY
 PERSON  WHO  HAS BEEN INJURED BY REASON OF ANY VIOLATION OF THIS ARTICLE
 MAY BRING AN ACTION IN HIS OR HER OWN NAME TO ENJOIN SUCH  UNLAWFUL  ACT
 OR  PRACTICE,  AN ACTION TO RECOVER TREBLE HIS OR HER ACTUAL DAMAGES, OR
 BOTH SUCH ACTIONS. THE COURT SHALL AWARD REASONABLE ATTORNEY'S FEES  AND
 COSTS TO A PREVAILING PLAINTIFF.
   §  6815.  SEVERABILITY  CLAUSE.  IF  ANY  CLAUSE, SENTENCE, PARAGRAPH,
 SUBSECTION, SECTION OR PART OF THIS ARTICLE SHALL  BE  ADJUDGED  BY  ANY
 COURT  OF  COMPETENT JURISDICTION TO BE INVALID, SUCH JUDGMENT SHALL NOT
 AFFECT, IMPAIR, OR  INVALIDATE  THE  REMAINDER  THEREOF,  BUT  SHALL  BE
 CONFINED   IN   ITS   OPERATION  TO  THE  CLAUSE,  SENTENCE,  PARAGRAPH,
 SUBSECTION, SECTION OR PART THEREOF DIRECTLY INVOLVED IN THE CONTROVERSY
 IN WHICH SUCH JUDGMENT SHALL HAVE BEEN RENDERED. IT IS  HEREBY  DECLARED
 TO  BE  THE  INTENT OF THE LEGISLATURE THAT THIS ARTICLE WOULD HAVE BEEN
 ENACTED EVEN IF SUCH INVALID PROVISIONS HAD NOT BEEN INCLUDED HEREIN.
   § 6816. REGULATIONS. THE SUPERINTENDENT SHALL  PROMULGATE  REGULATIONS
 IMPLEMENTING  THE  PROVISIONS  OF THIS ARTICLE, OR ANY OTHER REGULATIONS
 ALLOWED BY LAW THAT ADVANCES THE SAFETY, HEALTH AND INTERESTS OF CONSUM-
 ERS.
   § 2. This act shall take effect on the sixtieth  day  after  it  shall
 have  become  a  law.    Effective  immediately, the addition, amendment
 and/or repeal of any rule or regulation necessary for the implementation
 of this act on  its  effective  date  are  authorized  to  be  made  and
 completed on or before such effective date.

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7770--A
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               May 21, 2021
                                ___________
 
 Introduced  by  M.  of  A.  EPSTEIN, TAYLOR, RICHARDSON -- read once and
   referred to the Committee on Insurance -- committee  discharged,  bill
   amended,  ordered reprinted as amended and recommitted to said commit-
   tee
 
 AN ACT to amend the insurance law, in relation to providing for  licens-
   ing of an immigration bond business

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The insurance law is amended by adding a new  article  68-A
 to read as follows:
                               ARTICLE 68-A
                         IMMIGRATION BOND BUSINESS
 SECTION 6810. IMMIGRATION BOND BUSINESS.
         6811. IMMIGRATION BOND BUSINESS; LICENSING.
         6812. RESTRICTIONS.
         6813. PREMIUM OR COMPENSATION.
         6814. CIVIL ACTION BY PRIVATE PARTY; DAMAGES; ATTORNEY FEES.
         6815. SEVERABILITY CLAUSE.
         6816. REGULATIONS.
   § 6810. IMMIGRATION  BOND  BUSINESS. (A)(1) ANY PERSON, FIRM OR ORGAN-
 IZATION WHO CHARGES A PREMIUM OR A  FEE,  OR  RECEIVES  COMPENSATION  IN
 CONNECTION WITH THE DEPOSITING OF MONEY OR PROPERTY AS BOND, EXECUTES AS
 SURETY,  OR  NEGOTIATES  OR SOLICITS, ANY BOND, OR INDEMNIFIES OR UNDER-
 WRITES BONDS IN RELATION TO ANY PROCEEDING, FILING OR  ACTION  AFFECTING
 THE  NON-IMMIGRANT,  IMMIGRANT  OR  CITIZENSHIP STATUS OF A PERSON WHICH
 ARISES UNDER THE IMMIGRATION AND NATIONALITY  LAW,  EXECUTIVE  ORDER  OR
 PRESIDENTIAL  PROCLAMATION, OR WHICH ARISES UNDER ACTIONS OR REGULATIONS
 OF THE UNITED STATES DEPARTMENT OF HOMELAND SECURITY SHALL BE DEEMED  TO
 BE  DOING  AN  IMMIGRATION  BOND BUSINESS AS DEFINED IN THIS ARTICLE AND
 DOING AN INSURANCE BUSINESS AS DEFINED IN ARTICLE ELEVEN OF  THIS  CHAP-
 TER.

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09647-03-1
              

 A. 7770--A                          2
 
   (2)  EXCEPT  FOR A CORPORATION AUTHORIZED TO WRITE FIDELITY AND SURETY
 INSURANCE AND TO  DO  AN  IMMIGRATION  BOND  BUSINESS  PURSUANT  TO  THE
 PROVISIONS OF ARTICLE ELEVEN OF THIS CHAPTER AND OTHERWISE IN COMPLIANCE
 WITH  ALL  OTHER  REQUIREMENTS  OF  THIS CHAPTER TO DO SUCH BUSINESS, NO
 PERSON, FIRM OR CORPORATION SHALL ENGAGE IN AN IMMIGRATION BOND BUSINESS
 IN THIS STATE.
   (B) NO PERSON, FIRM OR CORPORATION SHALL IN THIS STATE DO AN INSURANCE
 BUSINESS OR AN IMMIGRATION BOND BUSINESS AS DEFINED IN SUBSECTION (A) OF
 THIS  SECTION  UNLESS  AUTHORIZED  BY  A  LICENSE ISSUED AND IN FORCE AS
 PROVIDED UNDER ARTICLE ELEVEN OF THIS CHAPTER.
   § 6811. IMMIGRATION BOND BUSINESS; LICENSING. (A) NO PERSON,  FIRM  OR
 CORPORATION  OR  ANY OFFICER OR EMPLOYEE THEREOF SHALL ACT IN THIS STATE
 AS AN AGENT OR SOLICITOR OF AN IMMIGRATION BOND BUSINESS  IN  SOLICITING
 OR  NEGOTIATING  ANY FEES, COMPENSATION, OR PREMIUMS RELATED TO AN IMMI-
 GRATION BOND OR EFFECTUATING ANY SUCH DEPOSIT  OR  IMMIGRATION  BOND  BY
 SUCH  IMMIGRATION BOND BUSINESS UNLESS LICENSED BY THE SUPERINTENDENT AS
 AN AGENT PURSUANT TO THE PROVISIONS OF THIS SECTION.
   (B) EVERY IMMIGRATION BOND BUSINESS IN  THIS  STATE  SHALL  PROCURE  A
 LICENSE  PURSUANT  TO  THE  PROVISIONS  OF  THIS SECTION FOR EACH OF ITS
 EMPLOYEES, OFFICERS AND AGENTS ACTING FOR IT IN SOLICITING OR  NEGOTIAT-
 ING  ANY  FEES, COMPENSATION, OR PREMIUMS RELATED TO AN IMMIGRATION BOND
 OR EFFECTUATING ANY SUCH DEPOSIT OR IMMIGRATION BOND.
   (C) THE SUPERINTENDENT MAY, IN THE SUPERINTENDENT'S DISCRETION,  ISSUE
 TO  ANY  PERSON,  FIRM OR CORPORATION A LICENSE TO ACT AS AN AGENT OF AN
 IMMIGRATION BOND BUSINESS IN SOLICITING, NEGOTIATING OR EFFECTUATING ANY
 SUCH DEPOSIT OR IMMIGRATION BOND BY SUCH IMMIGRATION BOND BUSINESS.
   (D) ANY SUCH LICENSE ISSUED TO  AN  IMMIGRATION  BOND  BUSINESS  SHALL
 AUTHORIZE ONLY THE MEMBERS NAMED IN SUCH LICENSE AS SUBLICENSEES, TO ACT
 INDIVIDUALLY  AS  AGENTS  THEREUNDER.  ANY SUBLICENSE ISSUED TO A CORPO-
 RATION SHALL AUTHORIZE ONLY THE OFFICERS AND  DIRECTORS  NAMED  IN  SUCH
 LICENSE  AS  SUBLICENSEES,  TO  ACT  INDIVIDUALLY  AS AGENTS THEREUNDER.
 EVERY SUBLICENSEE, ACTING AS AN INSURANCE AGENT PURSUANT  TO  A  LICENSE
 ISSUED  TO A FIRM OR CORPORATION, SHALL BE AUTHORIZED TO ACT ONLY IN THE
 NAME OF SUCH FIRM OR CORPORATION.
   (E) BEFORE THE ISSUANCE OF A LICENSE EVERY APPLICANT SHALL SATISFY THE
 SUPERINTENDENT AS TO HIS  OR  HER  TRUSTWORTHINESS  AND  COMPETENCE  AND
 OTHERWISE  COMPLY  WITH  THE  CONDITIONS  SET FORTH IN THIS SECTION. THE
 SUPERINTENDENT MAY REFUSE TO ISSUE ANY SUCH LICENSE IF  IN  HIS  OR  HER
 JUDGMENT  SUCH  REFUSAL WILL BEST PROMOTE THE INTERESTS OF THE PEOPLE OF
 THIS STATE.
   (F) AT THE TIME OF THE APPLICATION FOR  EVERY  LICENSE  A  TWENTY-FIVE
 DOLLAR FEE SHALL BE PAID TO THE SUPERINTENDENT FOR EACH YEAR OR FRACTION
 OF  A  YEAR IN WHICH A LICENSE SHALL BE VALID FOR EACH INDIVIDUAL APPLI-
 CANT AND FOR EACH PROPOSED SUBLICENSEE.
   (G) EVERY APPLICANT FOR A LICENSE HEREUNDER SHALL FILE WITH THE SUPER-
 INTENDENT WRITTEN EVIDENCE BY THOSE WHO KNOW HIS OR  HER  CHARACTER  AND
 REPUTATION  AND  BY  SUCH OTHER PROOF AS THE SUPERINTENDENT MAY REQUIRE,
 INCLUDING HIS OR HER FINGERPRINTS, THAT HE OR SHE IS A  PERSON  OF  GOOD
 CHARACTER  AND  REPUTATION  AND  HAS NEVER BEEN CONVICTED OF ANY OFFENSE
 INVOLVING MORAL TURPITUDE OR OF ANY CRIME. IF SUCH APPLICANT IS  A  FIRM
 OR  CORPORATION  SUCH  PROOF  MUST BE MADE WITH RESPECT TO EVERY MEMBER,
 SHAREHOLDER, OFFICER AND DIRECTOR OF  SUCH  FIRM  OR  CORPORATION.  SUCH
 FINGERPRINTS  SHALL  BE  SUBMITTED  TO  THE DIVISION OF CRIMINAL JUSTICE
 SERVICES FOR A STATE CRIMINAL HISTORY RECORD CHECK, AS DEFINED IN SUBDI-
 VISION ONE OF SECTION THREE THOUSAND THIRTY-FIVE OF  THE  EDUCATION  LAW
 A. 7770--A                          3
 
 AND  MAY  BE  SUBMITTED  TO  THE  FEDERAL  BUREAU OF INVESTIGATION FOR A
 NATIONAL CRIMINAL HISTORY RECORD CHECK.
   (H)  IN  ORDER  TO  DETERMINE  THE  COMPETENCE OF EACH APPLICANT FOR A
 LICENSE OR A SUBLICENSE, THE SUPERINTENDENT SHALL REQUIRE  EVERY  APPLI-
 CANT  TO  PASS TO THE SATISFACTION OF THE SUPERINTENDENT A WRITTEN EXAM-
 INATION TO BE PREPARED BY THE  SUPERINTENDENT  AND  APPROPRIATE  TO  THE
 DOING  OF AN IMMIGRATION BOND BUSINESS. IF THE APPLICANT OR ANY PROPOSED
 SUBLICENSEE INTENDS TO MAINTAIN AN OFFICE OR SOLICIT, NEGOTIATE,  EFFEC-
 TUATE  OR  DEPOSIT  BAIL  ON  BEHALF OF ANOTHER IN ANY CITY CONTAINING A
 POPULATION OF MORE THAN ONE HUNDRED SEVENTY-FIVE THOUSAND, SUCH  WRITTEN
 EXAMINATION  MAY INQUIRE INTO THE APPLICANT'S KNOWLEDGE OF THE PERTINENT
 PROVISIONS OF THE CRIMINAL PROCEDURE LAW AND  THE  PERTINENT  RULES  AND
 PRACTICES  OF THE COURTS AND DISTRICT ATTORNEYS' OFFICES WITHIN THE AREA
 OF THE APPLICANT'S PROPOSED OPERATIONS. SUCH EXAMINATION SHALL  BE  HELD
 AT SUCH TIMES AND PLACES AS THE SUPERINTENDENT SHALL DETERMINE.
   (I) EVERY INDIVIDUAL APPLYING TO TAKE ANY WRITTEN EXAMINATION SHALL AT
 THE  TIME OF APPLYING PAY TO THE SUPERINTENDENT, OR AT THE DISCRETION OF
 THE SUPERINTENDENT, DIRECTLY TO ANY ORGANIZATION THAT IS UNDER  CONTRACT
 TO  PROVIDE  EXAMINATION SERVICES, AN EXAMINATION FEE OF AN AMOUNT WHICH
 IS THE ACTUAL DOCUMENTED ADMINISTRATIVE COST OF CONDUCTING THE  EXAMINA-
 TION  AS  CERTIFIED BY THE SUPERINTENDENT FROM TIME TO TIME. AN EXAMINA-
 TION FEE REPRESENTS AN ADMINISTRATIVE EXPENSE AND IS NOT REFUNDABLE.
   (J) EVERY APPLICANT FOR ANY SUCH LICENSE SHALL FILE  WITH  THE  SUPER-
 INTENDENT A QUALIFYING BOND, APPROVED BY THE ATTORNEY GENERAL AS TO FORM
 AND  BY THE SUPERINTENDENT AS TO SUFFICIENCY, IN A PENALTY OF FIVE THOU-
 SAND DOLLARS, CONDITIONED UPON THE FAITHFUL PERFORMANCE OF THE DUTIES OF
 SUCH LICENSEE. NO SUCH QUALIFYING BOND SHALL BE SUBJECT  TO  TERMINATION
 OR CANCELLATION BY EITHER PARTY IN LESS THAN SIXTY DAYS AFTER THE GIVING
 OF WRITTEN NOTICE TO THE OTHER PARTY AND TO THE SUPERINTENDENT. A TERMI-
 NATION  OR  CANCELLATION SHALL NOT AFFECT THE LIABILITY OF THE SURETY OR
 SURETIES ON SUCH BOND INCURRED PRIOR  TO  THE  EFFECTIVE  DATE  OF  SUCH
 TERMINATION OR CANCELLATION. IF DURING THE TERM OF SUCH BOND SUCH LICEN-
 SEE  SHALL BE GUILTY OF FRAUDULENT OR DISHONEST CONDUCT OR OTHER MISCON-
 DUCT OR MALFEASANCE IN HIS OR HER DEALINGS WITH ANY COURT OR  MAGISTRATE
 OR WITH ANY PERSON OR CORPORATION IN CONNECTION WITH ANY DEPOSIT OR BAIL
 BOND,  THE  ATTORNEY  GENERAL  MAY MAINTAIN AN ACTION ON SUCH QUALIFYING
 BOND IN THE NAME OF THE PEOPLE OF THIS STATE AND EITHER RECOVER THE FULL
 AMOUNT OF THE PENALTY OR RECOVER FOR THE USE AND BENEFIT OF  THE  PERSON
 OR  PERSONS  AGGRIEVED,  THE  AMOUNT OF LOSS OR INJURY SUSTAINED BY SUCH
 PERSON OR PERSONS BY REASON OF SUCH  MISCONDUCT.  NO  SUCH  RECOVERY  OR
 RECOVERIES  SHALL  EXCEED IN THE AGGREGATE FIVE THOUSAND DOLLARS, EXCLU-
 SIVE OF INTEREST AND COSTS.  AN ACTION SHALL NOT BE BROUGHT  UNDER  THIS
 SECTION  MORE  THAN SIX YEARS AFTER THE OCCURRENCE OF THE ACT, METHOD OR
 PRACTICE WHICH IS THE SUBJECT OF THE ACTION OR MORE THAN ONE YEAR  AFTER
 THE  LAST PAYMENT IN A TRANSACTION INVOLVING THE METHOD, ACT OR PRACTICE
 WHICH IS THE SUBJECT OF THE ACTION, WHICHEVER IS LATER.
   (K) THE SUPERINTENDENT MAY, UPON NOTICE AND AFTER A HEARING, REVOKE OR
 SUSPEND, FOR SUCH PERIOD AS HE OR SHE MAY DETERMINE, ANY SUCH LICENSE OR
 SUBLICENSE ISSUED PURSUANT TO THE PROVISIONS OF THIS SECTION  IF,  AFTER
 NOTICE  AND  HEARING  AS SPECIFIED IN THIS CHAPTER, HE OR SHE DETERMINES
 THAT THE LICENSEE OR ANY SUBLICENSEE OR ANY MEMBER OF A FIRM  OR  CORPO-
 RATION WHICH IS SO LICENSED HAS:
   (1)  VIOLATED  ANY  PROVISION  OF,  OR ANY OBLIGATION IMPOSED BY, THIS
 CHAPTER, OR HAS VIOLATED ANY OTHER LAW OF THE STATE;
   (2) HAS MADE A MATERIAL  MISSTATEMENT  IN  THE  APPLICATION  FOR  SUCH
 LICENSE;
 A. 7770--A                          4
 
   (3)  HAS BEEN GUILTY OF ANY FRAUDULENT OR DISHONEST PRACTICES OR OTHER
 MISCONDUCT OR MALFEASANCE;
   (4) HAS CHARGED OR RECEIVED, AS PREMIUM OR COMPENSATION FOR THE MAKING
 OF  ANY DEPOSIT OR IMMIGRATION BOND, ANY SUM IN EXCESS OF THAT PERMITTED
 BY LAW;
   (5) HAS REQUIRED, AS A CONDITION OF HIS  OR  HER  EXECUTING  AN  IMMI-
 GRATION BOND, THAT THE PRINCIPAL AGREE TO ENGAGE THE SERVICES OF A SPEC-
 IFIED ATTORNEY; OR
   (6)  HAS  DEMONSTRATED HIS OR HER INCOMPETENCY OR UNTRUSTWORTHINESS TO
 ACT AS A LICENSEE.
   (L) THE SUPERINTENDENT, IN LIEU OF REVOKING OR SUSPENDING A LICENSE IN
 ACCORDANCE WITH THE PROVISIONS OF THIS ARTICLE, MAY, IN ANY ONE PROCEED-
 ING, BY ORDER, REQUIRE THE LICENSEE TO PAY TO THE PEOPLE OF THIS STATE A
 PENALTY IN A SUM NOT EXCEEDING FIVE HUNDRED DOLLARS  FOR  EACH  OFFENSE,
 AND  A PENALTY IN A SUM NOT EXCEEDING TWENTY-FIVE HUNDRED DOLLARS IN THE
 AGGREGATE FOR ALL OFFENSES.  UPON FAILURE OF SUCH LICENSEE TO  PAY  SUCH
 PENALTY  WITHIN  TWENTY  DAYS  AFTER  THE MAILING OF SUCH ORDER, POSTAGE
 PREPAID, REGISTERED, AND ADDRESSED TO THE LAST KNOWN PLACE  OF  BUSINESS
 OF  SUCH  LICENSEE,  UNLESS SUCH ORDER IS STAYED BY A COURT OF COMPETENT
 JURISDICTION, THE SUPERINTENDENT MAY REVOKE THE LICENSE OF SUCH LICENSEE
 OR MAY SUSPEND THE SAME FOR SUCH PERIOD AS HE OR SHE MAY DETERMINE.
   (M) EVERY LICENSE ISSUED TO AN OFFICER, EMPLOYEE, OR AGENT OF AN IMMI-
 GRATION BOND BUSINESS PURSUANT TO THIS  SECTION  SHALL  BE  FOR  A  TERM
 EXPIRING  ON THE THIRTY-FIRST OF DECEMBER OF EVEN NUMBERED YEARS AND MAY
 BE RENEWED FOR THE ENSUING TWO CALENDAR  YEARS  UPON  THE  FILING  OF  A
 RENEWAL  APPLICATION.  THE  SUPERINTENDENT  MAY REFUSE TO ISSUE ANY SUCH
 LICENSE IF IN THE  SUPERINTENDENT'S  JUDGMENT  SUCH  REFUSAL  WILL  BEST
 PROMOTE  THE INTERESTS OF THE PEOPLE OF THIS STATE.  EVERY SUCH LICENSEE
 AND SUBLICENSEE SHALL FILE AN INFORMATION STATEMENT  ON  OR  BEFORE  THE
 THIRTY-FIRST  OF  DECEMBER  OF  EACH  EVEN  NUMBERED  YEAR, THE FORM AND
 SUBJECT MATTER OF WHICH MAY BE PRESCRIBED BY THE SUPERINTENDENT.
   (N) ANY DOMESTIC, FOREIGN OR ALIEN SURETY COMPANY WHICH  WAS  LICENSED
 TO  DO  AN IMMIGRATION BOND BUSINESS IN THIS STATE BEFORE JANUARY FIRST,
 NINETEEN HUNDRED FORTY SHALL SO LONG  AS  ITS  LICENSE  OR  ANY  RENEWAL
 REMAINS  IN  FORCE, BE DEEMED LICENSED AS AN INSURER TO DO SUCH BUSINESS
 WITHIN THE MEANING OF SUBSECTION  (B)  OF  SECTION  SIX  THOUSAND  EIGHT
 HUNDRED TEN OF THIS ARTICLE AND ARTICLE ELEVEN OF THIS CHAPTER.
   (O)  THIS  SECTION  SHALL  NOT APPLY TO ANY INSURER AUTHORIZED IN THIS
 STATE TO EXECUTE AND ISSUE POLICIES OF MOTOR VEHICLE AND AIRCRAFT INSUR-
 ANCE AS SPECIFIED IN  PARAGRAPHS  THIRTEEN,  FOURTEEN  AND  NINETEEN  OF
 SUBSECTION  (A)  OF  SECTION  ONE  THOUSAND ONE HUNDRED THIRTEEN OF THIS
 CHAPTER OR TO ANY AGENT OF SUCH INSURER OR TO  ANY  BROKER  WHO,  AS  AN
 INCIDENT  TO  THE  EXECUTION  AND  ISSUANCE OF ANY SUCH POLICY OR TO THE
 SOLICITATION, NEGOTIATION OR PROCUREMENT THEREOF UNDERTAKES TO  PAY,  IN
 ADDITION  TO THE APPLICABLE LIMITS OF LIABILITY, THE COST OF IMMIGRATION
 BONDS REQUIRED OF THE INSURED BECAUSE OF ACCIDENT  OR  ASSERTED  TRAFFIC
 LAW  VIOLATIONS  ARISING  OUT  OF THE USE OF A VEHICLE INSURED UNDER THE
 TERMS OF THE POLICY, PROVIDED THE COST OF  EACH  SUCH  IMMIGRATION  BOND
 DOES  NOT  EXCEED ONE HUNDRED DOLLARS, OR WHO OTHERWISE ARRANGES FOR THE
 EXECUTION OF A IMMIGRATION BOND OR DEPOSIT  IN  LIEU  OF  CASH  BAIL  ON
 BEHALF  OF THE INSURED IN THE EVENT OF THE INSURED'S ARREST OR DETENTION
 BY REASON OF AN ASSERTED VIOLATION OF ANY LAW RELATING TO THE USE  OF  A
 MOTOR VEHICLE.
   (P)  THE  SUPERINTENDENT  MAY  ISSUE  A REPLACEMENT FOR A CURRENTLY IN
 FORCE LICENSE WHICH HAS BEEN LOST OR DESTROYED.  BEFORE SUCH REPLACEMENT
 LICENSE SHALL BE ISSUED, THERE SHALL BE ON FILE IN  THE  OFFICE  OF  THE
 A. 7770--A                          5
 
 SUPERINTENDENT  A  WRITTEN  APPLICATION  FOR  SUCH  REPLACEMENT LICENSE,
 AFFIRMING UNDER PENALTY OF PERJURY THAT THE ORIGINAL  LICENSE  HAS  BEEN
 LOST OR DESTROYED, TOGETHER WITH A FEE OF FIFTEEN DOLLARS.
   §  6812.  RESTRICTIONS. (A) NO IMMIGRATION BOND BUSINESS AS DEFINED IN
 SUBSECTION (A) OF SECTION SIX THOUSAND EIGHT HUNDRED TEN OF THIS ARTICLE
 SHALL REQUIRE THE USE OF AN ELECTRONIC MONITORING DEVICE AS A  CONDITION
 FOR  THE  PROVISION  OF SUCH A BOND OR IN EXCHANGE FOR SERVICES. FOR THE
 PURPOSES OF THIS SECTION, AN "ELECTRONIC MONITORING DEVICE" INCLUDES ANY
 DEVICE THAT TRACKS OR MONITORS LOCATION, ANY DEVICE THAT TRACKS OR MONI-
 TORS BIOMETRIC DATA, OR ANY DEVICE THAT RECORDS OR  TRANSMITS  VIDEO  OR
 AUDIO SURVEILLANCE DATA.
   (B)  NO  IMMIGRATION  BOND  BUSINESS  AS  DEFINED IN SUBSECTION (A) OF
 SECTION SIX THOUSAND EIGHT HUNDRED TEN OF THIS ARTICLE SHALL  PROVIDE  A
 REFERRAL  OR CONTACT INFORMATION FOR A LAWYER OR LEGAL SERVICES PROVIDER
 THAT IS OWNED AT LEAST PARTLY BY THE IMMIGRATION  BOND  BUSINESS  OR  AN
 ENTITY AFFILIATED WITH THE IMMIGRATION BOND BUSINESS WITHOUT:
   (1)  DISCLOSING  IN WRITING, IN A LANGUAGE UNDERSTOOD BY THE CONSUMER,
 THE SOURCE OF PAYMENT TO THE LAWYER OR LEGAL SERVICES PROVIDER  FOR  THE
 SERVICES RENDERED; AND
   (2)  INCLUDING THE WRITTEN STATEMENT: "THE PAYMENT OF PREMIUMS OR FEES
 TO THE IMMIGRATION BOND PROVIDER IS NOT FOR AND DOES NOT GUARANTEE  THAT
 YOU  WILL  RECEIVE  LEGAL  REPRESENTATION.    USING THIS LAWYER OR LEGAL
 SERVICES PROVIDER IS NOT A REQUIREMENT OF BOND. IF YOU  CHOOSE  TO  HIRE
 THIS  LAWYER OR LEGAL SERVICES PROVIDER, YOU HAVE THE RIGHT TO FIRE THEM
 AT ANY TIME AND SEEK YOUR OWN COUNSEL."
   § 6813. PREMIUM OR COMPENSATION. (A) FOR THE PURPOSES OF THIS ARTICLE,
 PREMIUM OR COMPENSATION SHALL INCLUDE ALL FEES AND  PAYMENTS  ASSOCIATED
 WITH  THE  PAYMENT, UNDERWRITING OR INDEMNIFICATION OF A BOND. SUCH FEES
 AND PAYMENTS SHALL INCLUDE, BUT ARE NOT  LIMITED  TO  MAINTENANCE  FEES,
 PROGRAM FEES, AND INTEREST RATE PAYMENTS.
   (B)  THE  PREMIUM  OR  COMPENSATION  FOR GIVING AN IMMIGRATION BOND OR
 DEPOSITING MONEY OR PROPERTY AS BAIL IN AN ACTION AFFECTING THE  NON-IM-
 MIGRANT,  IMMIGRANT  OR  CITIZENSHIP STATUS OF A PERSON SHALL NOT EXCEED
 TEN PER CENTUM OF THE AMOUNT OF SUCH BOND OR DEPOSIT  IN  ACTIONS  WHERE
 SUCH  BONDS OR DEPOSITS DO NOT EXCEED THE SUM OF THREE THOUSAND DOLLARS.
 WHERE SUCH BONDS OR DEPOSITS EXCEED THE SUM OF THREE  THOUSAND  DOLLARS,
 THE  PREMIUM SHALL NOT EXCEED TEN PER CENTUM OF THE FIRST THREE THOUSAND
 DOLLARS AND EIGHT PER CENTUM OF THE EXCESS AMOUNT  OVER  THREE  THOUSAND
 DOLLARS  UP  TO  TEN  THOUSAND  DOLLARS AND SIX PER CENTUM OF THE EXCESS
 AMOUNT OVER TEN THOUSAND DOLLARS.
   (C) NO PERSON OR CORPORATION SHALL:
   (1) CHARGE OR RECEIVE, DIRECTLY OR  INDIRECTLY,  ANY  GREATER  COMPEN-
 SATION  FOR  MAKING  A  DEPOSIT  FOR AN IMMIGRATION BOND, OR ACT IN SUCH
 BUSINESS AS AFORESAID WITHOUT OBTAINING A LICENSE, OR
   (2) ACCEPT ANY FEE OR COMPENSATION FOR  OBTAINING  A  LICENSE  OR  FOR
 OBTAINING AN IMMIGRATION BOND. SUCH PERSON OR CORPORATION SHALL BE GUIL-
 TY  OF  A  MISDEMEANOR  AND  IN  ADDITION SHALL IN ANY ACTION BROUGHT TO
 RECOVER ANY SUCH OVERCHARGE BE LIABLE FOR TREBLE DAMAGES.
   § 6814. CIVIL ACTION BY PRIVATE PARTY; DAMAGES; ATTORNEY  FEES.    ANY
 PERSON  WHO  HAS BEEN INJURED BY REASON OF ANY VIOLATION OF THIS ARTICLE
 MAY BRING AN ACTION IN HIS OR HER OWN NAME TO ENJOIN SUCH  UNLAWFUL  ACT
 OR  PRACTICE,  AN ACTION TO RECOVER TREBLE HIS OR HER ACTUAL DAMAGES, OR
 BOTH SUCH ACTIONS. THE COURT SHALL AWARD REASONABLE ATTORNEY'S FEES  AND
 COSTS TO A PREVAILING PLAINTIFF.
   §  6815.  SEVERABILITY  CLAUSE.  IF  ANY  CLAUSE, SENTENCE, PARAGRAPH,
 SUBSECTION, SECTION OR PART OF THIS ARTICLE SHALL  BE  ADJUDGED  BY  ANY
 A. 7770--A                          6
 
 COURT  OF  COMPETENT JURISDICTION TO BE INVALID, SUCH JUDGMENT SHALL NOT
 AFFECT, IMPAIR, OR  INVALIDATE  THE  REMAINDER  THEREOF,  BUT  SHALL  BE
 CONFINED   IN   ITS   OPERATION  TO  THE  CLAUSE,  SENTENCE,  PARAGRAPH,
 SUBSECTION, SECTION OR PART THEREOF DIRECTLY INVOLVED IN THE CONTROVERSY
 IN  WHICH  SUCH JUDGMENT SHALL HAVE BEEN RENDERED. IT IS HEREBY DECLARED
 TO BE THE INTENT OF THE LEGISLATURE THAT THIS ARTICLE  WOULD  HAVE  BEEN
 ENACTED EVEN IF SUCH INVALID PROVISIONS HAD NOT BEEN INCLUDED HEREIN.
   §  6816.  REGULATIONS. THE SUPERINTENDENT SHALL PROMULGATE REGULATIONS
 IMPLEMENTING THE PROVISIONS OF THIS ARTICLE, OR  ANY  OTHER  REGULATIONS
 ALLOWED BY LAW THAT ADVANCES THE SAFETY, HEALTH AND INTERESTS OF CONSUM-
 ERS.
   §  2.  This  act  shall take effect on the sixtieth day after it shall
 have become a law.    Effective  immediately,  the  addition,  amendment
 and/or repeal of any rule or regulation necessary for the implementation
 of  this  act  on  its  effective  date  are  authorized  to be made and
 completed on or before such effective date.

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7770--B
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               May 21, 2021
                                ___________
 
 Introduced by M. of A. EPSTEIN, TAYLOR, QUART, SEAWRIGHT, KELLES, GONZA-
   LEZ-ROJAS,  CRUZ,  FORREST,  GOTTFRIED, SIMON, REYES, BURGOS, JACKSON,
   MEEKS, STECK,  TAPIA,  RAMOS,  FERNANDEZ,  AUBRY,  GIBBS,  SOLAGES  --
   Multi-Sponsored  by  -- M. of A. COOK -- read once and referred to the
   Committee on Insurance -- committee discharged, bill amended,  ordered
   reprinted  as amended and recommitted to said committee -- recommitted
   to the Committee on Insurance in accordance with Assembly Rule 3, sec.
   2 -- reported and referred to the  Committee  on  Codes  --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 AN  ACT  to  amend the insurance law, in relation to an immigration bail
   business
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The insurance law is amended by adding a new section 1123
 to read as follows:
   § 1123. IMMIGRATION BAIL BUSINESS. (A)(1)  ANY  PERSON,  FIRM,  CORPO-
 RATION,  OR OTHER ENTITY WHO SHALL FOR ANOTHER DEPOSIT MONEY OR PROPERTY
 AS BAIL OR EXECUTE AS SURETY ANY  BOND  IN  ANY  IMMIGRATION  ACTION  OR
 PROCEEDING  WHO  WITHIN  A  PERIOD OF ONE MONTH PRIOR THERETO SHALL HAVE
 MADE SUCH A DEPOSIT OR GIVEN SUCH BAIL IN MORE THAN TWO CASES NOT  ARIS-
 ING  OUT  OF  THE  SAME TRANSACTION SHALL BE DEEMED TO BE DOING AN IMMI-
 GRATION BAIL BUSINESS AS DEFINED IN THIS SECTION AND DOING AN  INSURANCE
 BUSINESS AS DEFINED IN THIS ARTICLE.
   (2)  EXCEPT  FOR A CORPORATION AUTHORIZED TO WRITE FIDELITY AND SURETY
 INSURANCE AND TO  DO  AN  IMMIGRATION  BAIL  BUSINESS  PURSUANT  TO  THE
 PROVISIONS  OF  THIS  ARTICLE AND OTHERWISE IN COMPLIANCE WITH ALL OTHER
 REQUIREMENTS OF THIS CHAPTER TO  DO  SUCH  BUSINESS,  NO  PERSON,  FIRM,
 CORPORATION,  OR  OTHER ENTITY SHALL ENGAGE IN AN IMMIGRATION BAIL BUSI-
 NESS IN THIS STATE.

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09647-05-2
 A. 7770--B                          2
              

 
   (B) (1) NO PERSON, FIRM, CORPORATION, OR OTHER ENTITY  SHALL  IN  THIS
 STATE  DO  AN  INSURANCE  BUSINESS  OR  AN  IMMIGRATION BAIL BUSINESS AS
 DEFINED IN SUBSECTION (A) OF THIS SECTION UNLESS AUTHORIZED BY A LICENSE
 ISSUED AND IN FORCE AS PROVIDED UNDER THIS ARTICLE.
   (2)  THE  SUPERINTENDENT  MAY  AUTHORIZE A PROPERTY/CASUALTY INSURANCE
 COMPANY THAT IS AUTHORIZED TO WRITE FIDELITY AND SURETY INSURANCE TO  DO
 AN  IMMIGRATION  BAIL BUSINESS IN ACCORDANCE WITH THE PROVISIONS OF THIS
 ARTICLE, BUT NO INDIVIDUAL OR ENTITY SHALL BE LICENSED TO DO SUCH  BUSI-
 NESS.
   (C)  ANY PERSON, FIRM, CORPORATION, OR OTHER ENTITY THAT VIOLATES THIS
 SECTION SHALL BE SUBJECT TO THE PENALTY SET FORTH IN SUBSECTION  (A)  OF
 SECTION ONE THOUSAND ONE HUNDRED TWO OF THIS ARTICLE.
   (D) ANY PERSON WHO HAS BEEN INJURED BY REASON OF ANY VIOLATION OF THIS
 SECTION MAY BRING AN ACTION IN HIS OR HER OWN NAME TO ENJOIN SUCH UNLAW-
 FUL  ACT  OR  PRACTICE,  AN  ACTION  TO RECOVER TREBLE HIS OR HER ACTUAL
 DAMAGES, OR BOTH SUCH ACTIONS. THE COURT SHALL AWARD  REASONABLE  ATTOR-
 NEY'S FEES AND COSTS TO A PREVAILING PLAINTIFF.
   §  2.    The  insurance law is amended by adding a new section 2140 to
 read as follows:
   § 2140. RESTRICTIONS  ON  INSURANCE  PRODUCERS  PROCURING  IMMIGRATION
 BONDS.  (A) NO INSURANCE PRODUCER SHALL REQUIRE THE USE OF AN ELECTRONIC
 MONITORING DEVICE AS A CONDITION OF IMMIGRATION BAIL. FOR  THE  PURPOSES
 OF  THIS  SECTION, AN "ELECTRONIC MONITORING DEVICE" INCLUDES ANY DEVICE
 THAT TRACKS OR MONITORS LOCATION, ANY DEVICE  THAT  TRACKS  OR  MONITORS
 BIOMETRIC  DATA,  OR ANY DEVICE THAT RECORDS OR TRANSMITS VIDEO OR AUDIO
 SURVEILLANCE DATA.
   (B) NO INSURANCE PRODUCER SHALL MAKE A REFERRAL TO OR PROVIDE  CONTACT
 INFORMATION FOR A LEGAL SERVICES PROVIDER WITHOUT:
   (1)  DISCLOSING  IN WRITING, IN A LANGUAGE UNDERSTOOD BY THE CONSUMER,
 WHETHER THE INSURANCE PRODUCER OR AN ENTITY THAT IS AN AFFILIATE OF  THE
 INSURANCE  PRODUCER:  (A)  HAS  A FINANCIAL OR OWNERSHIP INTEREST IN THE
 LEGAL SERVICES PROVIDER;  (B)  IS  RECEIVING  ANY  COMPENSATION,  EITHER
 DIRECTLY  OR  INDIRECTLY,  FOR MAKING A REFERRAL TO OR PROVIDING CONTACT
 INFORMATION FOR THE LEGAL SERVICES PROVIDER;  OR  (C)  IS  COMPENSATING,
 EITHER DIRECTLY OR INDIRECTLY, THE LEGAL SERVICES PROVIDER FOR THE LEGAL
 SERVICES RENDERED; AND
   (2)  STATING  THAT: "THE PAYMENT OF PREMIUMS TO THE INSURANCE PRODUCER
 IS NOT FOR AND DOES NOT GUARANTEE THAT YOU WILL RECEIVE LEGAL  REPRESEN-
 TATION.    USING  THIS  LEGAL  SERVICES PROVIDER IS NOT A REQUIREMENT OF
 BAIL. IF YOU CHOOSE TO HIRE THIS LEGAL SERVICES PROVIDER, YOU  HAVE  THE
 RIGHT TO FIRE THE PROVIDER AT ANY TIME AND RETAIN YOUR OWN COUNSEL."
   (C) ANY PERSON WHO HAS BEEN INJURED BY REASON OF ANY VIOLATION OF THIS
 SECTION MAY BRING AN ACTION IN HIS OR HER OWN NAME TO ENJOIN SUCH UNLAW-
 FUL  ACT  OR  PRACTICE,  AN  ACTION  TO RECOVER TREBLE HIS OR HER ACTUAL
 DAMAGES, OR BOTH SUCH ACTIONS. THE COURT SHALL AWARD  REASONABLE  ATTOR-
 NEY'S FEES AND COSTS TO A PREVAILING PLAINTIFF.
   § 3. The insurance law is amended by adding a new section 2312 to read
 as follows:
   §  2312. IMMIGRATION BOND PREMIUM. (A) THE PREMIUM FOR GIVING AN IMMI-
 GRATION BOND OR DEPOSITING MONEY OR PROPERTY AS IMMIGRATION BAIL IN  ANY
 COURT  HAVING  IMMIGRATION  JURISDICTION OR IN ANY IMMIGRATION ACTION OR
 PROCEEDING SHALL NOT EXCEED TEN PER CENTUM OF THE AMOUNT OF SUCH BOND OR
 DEPOSIT IN ACTIONS WHERE SUCH BONDS OR DEPOSITS DO NOT EXCEED THE SUM OF
 THREE THOUSAND DOLLARS.  WHERE SUCH BONDS OR DEPOSITS EXCEED THE SUM  OF
 THREE  THOUSAND  DOLLARS, THE PREMIUM SHALL NOT EXCEED TEN PER CENTUM OF
 THE FIRST THREE THOUSAND DOLLARS AND EIGHT  PER  CENTUM  OF  THE  EXCESS
 A. 7770--B                          3
 
 AMOUNT  OVER  THREE  THOUSAND DOLLARS UP TO TEN THOUSAND DOLLARS AND SIX
 PER CENTUM OF THE EXCESS AMOUNT OVER TEN THOUSAND DOLLARS.
   (B) NO PERSON, FIRM, CORPORATION, OR OTHER ENTITY, INCLUDING AN INSUR-
 ANCE PRODUCER, SHALL:
   (1)  CHARGE,  COLLECT,  OR RECEIVE, DIRECTLY OR INDIRECTLY, ANY FEE OR
 COMPENSATION IN CONNECTION WITH AN IMMIGRATION  BAIL  DEPOSIT  OR  IMMI-
 GRATION BOND, OTHER THAN THE PREMIUM BASED ON RATES SUBJECT TO THE MAXI-
 MUM  SPECIFIED  IN  SUBSECTION  (A)  OF  THIS SECTION AND FILED WITH THE
 SUPERINTENDENT BY THE INSURER PURSUANT TO THIS ARTICLE,  NOTWITHSTANDING
 SUBSECTION  (C)  OF  SECTION  TWO  THOUSAND ONE HUNDRED NINETEEN OF THIS
 CHAPTER; OR
   (2) ACCEPT ANY FEE OR COMPENSATION FOR  OBTAINING  A  LICENSE  OR  FOR
 OBTAINING  AN  INSURANCE  PRODUCER  OR  IMMIGRATION BOND OR FOR AN IMMI-
 GRATION BAIL DEPOSIT.
   (C) ANY PERSON, FIRM, CORPORATION, OR OTHER ENTITY THAT VIOLATES  THIS
 SECTION  SHALL BE GUILTY OF A MISDEMEANOR.  AN INDEMNITOR MAY MAINTAIN A
 CAUSE OF ACTION IN A COURT OF COMPETENT JURISDICTION AGAINST ANY PERSON,
 FIRM, CORPORATION, OR OTHER ENTITY TO RECOVER ANY FEE OR COMPENSATION IN
 EXCESS OF THE AMOUNT AUTHORIZED PURSUANT TO THIS  SECTION.  THE  PERSON,
 FIRM,  CORPORATION,  OR  OTHER ENTITY SHALL, IN ANY ACTION BROUGHT BY AN
 INDEMNITOR TO RECOVER ANY SUCH OVERCHARGE, BE LIABLE FOR TREBLE DAMAGES.
   (D) ANY PERSON WHO HAS BEEN INJURED BY REASON OF ANY VIOLATION OF THIS
 SECTION MAY BRING AN ACTION IN HIS OR HER OWN NAME TO ENJOIN SUCH UNLAW-
 FUL ACT OR PRACTICE, AN ACTION TO  RECOVER  TREBLE  HIS  OR  HER  ACTUAL
 DAMAGES,  OR  BOTH SUCH ACTIONS. THE COURT SHALL AWARD REASONABLE ATTOR-
 NEY'S FEES AND COSTS TO A PREVAILING PLAINTIFF.
   §  4.  Severability  clause.  If  any  clause,  sentence,   paragraph,
 subsection,  section  or part of this act shall be adjudged by any court
 of competent jurisdiction to be invalid, such judgment shall not affect,
 impair, or invalidate the remainder thereof, but shall  be  confined  in
 its operation to the clause, sentence, paragraph, subsection, section or
 part thereof directly involved in the controversy in which such judgment
 shall  have been rendered. It is hereby declared to be the intent of the
 legislature that this act would have been enacted even if  such  invalid
 provisions had not been included herein.
   §  5.  This  act  shall take effect on the sixtieth day after it shall
 have become a law.    Effective  immediately,  the  addition,  amendment
 and/or repeal of any rule or regulation necessary for the implementation
 of  this  act  on  its  effective  date  are  authorized  to be made and
 completed on or before such effective date.